Teething problems: Low business confidence and disposable income cause revenue to fall

The Dental Insurance industry reimburses policyholders for some or all of the cost of dental care. It traditionally covers preventative care such as check-ups and dental hygienist visits, minor treatments such as fillings and extractions, and major treatments such as crowns and bridges. Unlike many other health services, the majority of the UK population has to pay for dental treatment. Dental insurance policies cover treatment provided by both NHS and private dentists. However, the propensity to purchase dental insurance is greater when people wish to receive treatment from private dentists, as the costs associated with private treatment are significantly higher...read more.

Industry Statistics & Market Size
Annual Growth 14-19
Forecast Growth 19-24

Industry Threats & Opportunities

  • Reduced disposable income is expectedto contribute to industry revenue decline
  • Revenue is expected to fall in the current year as declining real disposable income limits demand
  • Businesses are expected to take out lower value policies towards the start of the next five-year period
  • Industry Report - Industry Analysis Chapter

    Despite recording relatively consistent growth, the industry has been subject to some challenging conditions over the past five years. Demand for dental insurance policies softened during the second half of the period due to low business and consumer confidence following the EU referendum. Investment income fell sharply and remained volatile as financial markets suffered considerable turbulence. However, demand for dental insurance policies was not affected to the same extent as the wider General Insurance industry (IBISWorld report K65.120), primarily because NHS dental reforms made in 2006 reduced the availability of NHS dental services. This enabled premium income to grow during the period. As a result, industry revenue is expected to increase at a compound annual rate of 1.8% o...purchase to read more.

    Additional Insights for the Dental Insurance Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Dental Insurance Industry are

  • Superior financial management and debt management
  • Having a good reputation
  • Ability to pass on cost increases
  • IBISWorld analysts also discuss how external factors such as Business confidence index and Consumer confidence index in the Dental Insurance industry impact industry performance..

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    What's in this report

    What is the Dental Insurance Industry?

    Businesses in this industry underwrite dental insurance policies. Dental insurance helps to cover the costs of dental care, ranging from basic preventative coverage to major dental work, depending on the type and scope of the insurance plan. Orthodontics coverage may be included in dental insurance plans. Health cash plans that offer dental benefits alongside other benefits are excluded from the industry. Dental reinsurance is also not included in the industry.

    Industry Products
  • Indemnity plans
  • Preferred Provider Organisation plans
  • Capitation plans
  • Industry Activities
  • Providing dental capitation plans
  • Providing dental indemnity insurance plans
  • Providing dental Preferred Provider Organisation plans
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Business confidence index
  • Consumer confidence index
  • Real household disposable income
  • year bond rate
  • FTSE 100
  • Total health expenditure

  • Current Performance
  • Uncertain demand
  • Unsteady conditions
  • Volatile investment returns
  • Solvency II reforms
  • Profitability and enterprises
  • Chart: Revenue Growth

  • Industry Outlook
  • Demand falters
  • Investment income
  • Profit performance
  • Table: Dental Insurance Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Dental Insurance Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Electronic Component Manufacturing
  • Television Programming & Broadcasting
  • Banks
  • Consumers

  • Key Selling Industries
  • Insurance Agents & Brokers
  • Reinsurance

  • Products & Services
  • Capitation plans
  • Indemnity plans
  • Preferred Provider Organisation plans
  • Chart: Dental Insurance Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Large employers
  • Individual consumers
  • Small employers
  • Chart: Major Market Segmentation for the Dental Insurance Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitClaimsUnderwriting expensesReinsuranceWagesOther
  • Chart: Cost Structure Benchmarking – Sector vs Dental Insurance

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Dental Insurance Industry

  • Industry Globalization
    Simplyhealth Group Limited, The British United Provident Association Ltd, Cigna European Services (UK) Ltd,
  • Table: Simplyhealth Group Limited - financial performance
  • Table: The British United Provident Association Ltd - financial performance
  • Table: Cigna European Services (UK) Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Dental Insurance Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Dental Insurance Industry
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Capitation Plan
  • A plan where the dentist is paid a monthly fee by the insurer per plan participant, regardless of whether treatment has been performed.
  • Indemnity Plan
  • A plan where the dental office is reimbursed by the insurer when services have been performed.
  • Orthodontics
  • A speciality of dentistry that is concerned primarily with dental displacement.
  • Reinsurance
  • Insurance that is purchased by an insurance company as a means of risk management.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Dental Insurance market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Dental Insurance:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Dental Insurance market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Dental Insurance, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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